Al Bayan Contracting Company

In case you are president of Al Bayan Contracting Company, specialized in building high quality and customized homes in Dubai. You've just been employed by the A family to build their dream home, you work as a general contractor and you'll just hire a part-time accountant. You can subcontract to work with local housing construction professionals in Dubai. Initially scheduled to complete 11 homes this year the family has promised that the final costs will range from $450,000 to $500,000, and that it will take five months to complete the house once the laying of the foundation stone begins. The family is ready to delay the project in order to save costs. I have just completed a preliminary scope statement for the project (see below). You are now brainstorming the potential risks associated with the project.

The project's objective is to demonstrate the scope of the project: Build a high quality custom home within five months at a cost not exceeding $500,000.

Delivery: 2500 square feet, 3 bedrooms, Final house. An insulated garage with plates. Kitchen appliances to include oven, microwave and dishwasher. Gas oven with programmable thermostat.

Important Points Permits approved on July 5. Laying the foundation of the building 12 July

Technical Requirements

1. The house must meet local building laws. 2. All windows and doors must pass class 40 NFRC power rating. 3. The insulation of the outer wall must meet the "R" factor of 21. 4. The ceiling isolation must meet the "R" factor 38.. The isolation of the floor must meet the "R" factor of the 25. 6. The ventures will accommodate two cars.

Exceptions 1. The house will be built according to the specifications and design of the original schemes provided by the customer. 2. The owner is responsible for the landscape. 3. The refrigerator is not included among kitchen appliances. 4. Air conditioning is not included,. 5. SFC reserves the right to contract services.

Please answer the following questions:

A- Identify potential risks associated with this project. At least five different risks.

B- Use the risk matrix model: "critical", "control" and "disregard to clarify how to deal with each of the risks identified by question (A)